Friday, 25 September 2015

BMC Under Process to implement Seventh Pay Commission: Expect 15%-30% Pay Hike

As per the available news, BMC is expected to be under process to implement the recommendations of the Seventh Pay Commission for its employees.
As per the guidelines issued by the central government, BMC was required to prepare a report regarding implementation of the seventh pay commission as applicable to BMC. It is learnt that BMC has already started the work towards report preparation.

The recommendation is that BMC employees may see 15% to 30% pay hike after the Seventh Pay Commission recommendations are implemented.
As of today, BMC spends around 4,800 Crore Rupees on its employee salaries. After the Seventh Pay Commission recommendations become effective, the additional expenses may amount to around 1,400 Crore rupees for the BMC.

The Current State of BMC Salary Hikes

BMC had implemented the Sixth Pay Commission recommendations for its employees based on the format of the state government. However, that led to a difference in opinion, as the BMC employee organization demanded that the Sixth Pay Commission adopted format should be based on the one recommended by the central government, instead of the one being that of state government. This difference of opinion has led to a court case, which is currently reported to be pending in court.
See related news: BMC employees Sixth Pay Commission Salary granted: Pension, Pay Arrears & Salary Hike Details

In this backdrop, it will be intersting to see how the Seventh Pay Commission recommendations are implemented for the BMC employees.
See related: Seventh Pay Commission Recommendations Report: 20%-40% Pay Hike for Central Government Employees

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